Portfolio Investments LLC v. First Savings Bank Northwest

MEMORANDUM

Plaintiffs-appellants Portfolio Investments LLC, Stephen Nikolich, and Ste phen’s wife, Marcia Nikolich (collectively “Portfolio”), appeal from the district court’s dismissal of their amended complaint with prejudice for failure to state a claim under Rule 12(b)(6) of the Federal Rules of Civil Procedure. Portfolio alleged before the district court that the First Savings Bank Northwest (“FSB”) defendants-appellees and the Tax Attorneys, Inc. defendants-appellees collectively violated the Racketeer Influenced and Corrupt Organizations Act (“RICO”), 18 U.S.C. §§ 1961-1968 , by depriving Portfolio of its intangible right to honest services. The district court held that Portfolio had failed to allege statutory standing under RICO and dismissed Portfolio’s amended complaint with prejudice. We have jurisdiction under 28 U.S.C. § 1291 , and we affirm.

I

To state a claim under 18 U.S.C. § 1964 (c), Portfolio must have established statutory standing under RICO by pleading “(1) that [its] alleged harm qualifies as injury to [its] business or property; and (2) that [its] harm was ‘by reason of the RICO violation.” Canyon Cnty. v. Syngenta Seeds, Inc., 519 F.3d 969, 972 (9th…